Golden Key rights case:

AG to preside meeting to expedite payments

Wasantha RAMANAYAKE

The Supreme Court yesterday directed the parties in the Golden Key rights case to convene a meeting presided by the Attorney General to expedite payments, beginning from the depositors who had deposited less than Rs. one million at the Golden Key Credit Card Company (GKCC) .

The parties agreeing with the Court, appointed a three - men committee to meet on September 9, to discuss as to what methodologies could be adopted to pay off the depositors who had deposits of less than one million rupees with the GKCC.

The Bench comprised Justice Shiranee Thilakawardane with Justice K. Sripavan and Justice S.I. Imam. Justice Tilakawardane noted that the respondent Ceylinco Consolidated and GKCC directors had failed to make available one billion rupees as indicated by the Attorney General on a last occasion and that the process was being unduly dragging on. Attorney General Mohan Pieris PC had submitted that he would not resist bail applications of the respondent directors if they make available one billion rupees to start paying the depositors.

It also transpired that the Secretariat established by the court had only Rs. 250 million to make the payments. According to the court direction counsel for the respondent directors are expected to come out with proposals to make the initial payments.

The petitioners, depositors of the Golden Key company cited 17 respondents including the Monetary Board of the Central Bank, the Governor of the Central Bank, the Secretary to the Treasury, Golden Key company, Lalith Kotelawela, Khavan Perera, Sicille Kotelawela, the Ceylinco Consolidated and the Attorney General. The petitioners complained that the respondent company first stopped the payment of interest on deposits and then the depositors were not allowed to withdraw their deposits, without giving any reason.

They stated that they had learnt that the company directors were involved in numerous illegal activities using the money of the depositors. They pointed out that the company had misappropriated around Rs. 26 billion of the depositors.

The petitioners stated that the failure of the Monetary Board to supervise and control the activities of the respondent company was in violation of their rights. M.A. Bastianz with Sudath Jayasundara appeared for the petitioners. SSC Janak de Silva appeared for the respondents. Romesh de Silva PC appeared for Lalith Kotelawela.

The case will be taken up again on September 22.